HB2297 • 2026

financial aid; private scholarships; requirements

HB2297 - financial aid; private scholarships; requirements

Education

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Cesar Aguilar, Lorena Austin, Seth Blattman, Junelle Cavero, Brian Garcia, Aaron Márquez, Mariana Sandoval, Betty J Villegas
Last action: 2026-01-21
Official status: House second read
Effective date: Not listed

Plain English Breakdown

The official source does not provide specific details on how schools should work with students and scholarship providers to identify purposes of scholarships and gift aid.

Private Scholarships and Financial Aid Requirements

HB2297 requires Arizona postsecondary education institutions to not reduce a student's financial aid because they receive private scholarships, starting in the 2027-2028 school year.

What This Bill Does

Adds a new law that says schools can't lower a student's financial aid if the student gets money from private scholarships.
Schools are not allowed to count private scholarship awards when deciding how much financial aid to give a student.
Allows schools to work with students and scholarship providers to figure out if scholarships and gift aid have specific purposes.

Who It Names or Affects

Students who receive private scholarships at Arizona universities or community colleges.
Arizona postsecondary education institutions.

Terms To Know

Cost of Attendance: The total cost for a student to go to school, including tuition, fees, books, supplies, living expenses, and transportation.
Gift Aid: Money given to students for their education that does not need to be paid back, like grants or scholarships.

Limits and Unknowns

The law only applies starting in the 2027-2028 school year.
It doesn't apply to financial assistance from university foundations or government entities.

Bill History

2026-01-21 House
House second read
2026-01-20 House
House Rules: None
2026-01-20 House
House Education: None
2026-01-20 House
House first read

Official Summary Text

HB2297 - financial aid; private scholarships; requirements

Current Bill Text

Read the full stored bill text

HB2297 - 572R - I Ver

REFERENCE TITLE:
financial aid; private scholarships; requirements

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2297

Introduced by

Representatives
Aguilar: Austin, Blattman, Cavero, Garcia, M�rquez, Sandoval, Villegas

AN
ACT

amending title 15, chapter 13, article 6,
Arizona Revised Statutes, by adding section 15-1706; relating to financial aid.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 15, chapter 13, article 6,
Arizona Revised Statutes, is amended by adding section 15-1706, to read:

START_STATUTE
15-1706.

Private scholarships; financial aid awards; prohibitions;
definitions

A. Beginning in the 2027-2028
school year and notwithstanding any other law, an eligible postsecondary
education institution may not:

1. Reduce a student's gift aid
because the student receives or is designated to receive a private scholarship
award, except that the student's gift aid may be reduced by up to the amount by
which the gift aid exceeds the student's actual cost of attendance.

2. Consider a student's private
scholarship awards when determining the financial aid award, including gift
aid, for that student.

B. An eligible postsecondary
education institution may consult with students and the providers of private
scholarships to identify instances when private scholarships and gift aid are
limited to specific purposes.

C. For the purposes of this section:

1. "Cost of attendance"
includes the cost of tuition and fees, books and supplies, living expenses and
transportation expenses and any other costs used to calculate a student's
financial need for the purposes of student aid programs under title IV of the
higher education act of 1965 (P.L. 89-329; 79 Stat. 1219; 20 United
States Code sections 1070 through 1099
d
).

2. "Eligible postsecondary
education institution" means a university under the jurisdiction of the
Arizona board of regents or a community college as defined in section 15-1401.

3. "Gift aid" means all
financial aid that is designated for a student's postsecondary educational
expenses and that is not a loan or work study program.

4. "Private scholarship
award":

(
a
) Means
financial assistance that is awarded to a student by a private company, private
foundation, nonprofit organization or charity.

(
b
) Does not
include financial assistance that is awarded by a university foundation or
government entity.

5. "Student" means a person
who both:

(
a
) Qualifies
for in-state student status as prescribed in section 15-1802.

(
b
) Is enrolled
in an associate or baccalaureate degree program offered by an eligible
postsecondary education institution.
END_STATUTE

Sec. 2.
Short title

This act may be cited as the
"Arizona Ban on Scholarship Displacement Act of 2026".